Lack of core" impacts the performance of auto giants! JPMorgan Chase: Right now is good time to buy

$DAIMLER AG ADR(DMLRY.US)$ $RENAULT SA UNSPON ADR EACH REPR 0.20 ORD(RNLSY.US)$ $Stellantis NV(STLA.US)$ Chip shortages continue to wreak havoc on the global auto industry. Several auto giants including Volkswagen have attributed the poor performance of Q3 to the chip crisis. Nevertheless, analysts at JPMorgan Chase and UBS believe that now is the ideal time to increase exposure to the automotive industry.

"In our opinion, it is time to increase exposure to auto stocks," UBS analyst Patrick Hummel said in an October report.

Jose Asumendi, head of European auto equity research at JPMorgan Chase, told the media on Wednesday that he and his team have been advising investors to increase their exposure to cars for a month.

Asumandi said that they are very strict in the selection of stock value. Daimler, Renault and Stellatis are some of their most promising European car companies.

Article excerpted from the US Stock Research Agency